On 27 May 2024, Falcon suspended the processing of applications and withdrawals from First Guardian subject to some limited exceptions (First Guardian Master Fund May 2024 Update). Since that time, the vast majority of investors have been unable to access their funds.

ASIC took action to secure the assets held within First Guardian. On 27 February 2025, ASIC obtained interim freezing orders from the Federal Court restraining Falcon and Mr David Anderson, a director of Falcon from:

• removing their property (including the property of First Guardian) from Australia
• selling, charging, mortgaging, encumbering or otherwise dealing with, disposing and/or diminishing the value of that property
• incurring new liabilities, and 
• withdrawing, transferring, disposing of or dealing with money held in bank accounts in which Falcon or Mr Anderson have an interest, subject to limited exceptions (25-027MR).

ASIC has applied to the Federal Court for the appointment of liquidators to Falcon and for orders directing the liquidators to wind up First Guardian. ASIC is also seeking the appointment of a receiver and manager to the personal property of Mr Anderson.

ASIC is concerned about the management and operation of First Guardian and the associated risks to investors. ASIC has alleged that:

• approximately $274 million of First Guardian’s value arises from cash receivables in respect of which payments are many months late
• in excess of $23 million of First Guardian’s assets appear to have been paid to entities purportedly providing marketing services which appears contrary to representations made to investors
• First Guardian has invested in entities which Mr Anderson had an association with or financial interest in and Falcon appears to have failed to recognise and manage consequent conflicts of interest
• investors may have been exposed to classes of assets that differ from what was disclosed to them at the time of making their investment, and
• investors may have been misled about the security of their investment and likely returns.

The matter has been listed for hearing on 9 April 2025.

On 11 March 2025, Falcon published an update to its investors concerning the freezing orders obtained by ASIC and stated it was currently working with its advisers to develop a plan to implement an orderly wind down of First Guardian.

ASIC took court action to protect investor funds while ASIC continues its investigation into concerns about the management and operation of First Guardian and the associated risks to investors.

ASIC understands that investments were made into First Guardian by around 6,000 investors, who accessed First Guardian primarily through superannuation platforms the trustees for which were Diversa Trustees Limited (Diversa), Netwealth Investments Limited/Netwealth Superannuation Services Pty Ltd (Netwealth), or Equity Trustees Superannuation Limited (Equity Trustees).

ASIC’s investigation to date suggests that many of those investors were called by lead generators and referred to personal financial advice providers who advised them to roll their superannuation assets into a retail choice superannuation fund and then invest into First Guardian. Some investors received advice to set up self-managed superannuation funds (SMSFs) to facilitate investments into First Guardian.

Falcon suspended the processing of applications and withdrawals on 27 May 2024 subject to some limited exceptions (First Guardian Master Fund May 2024 Update). This suspension remains in place.

On 11 March 2025, Falcon published an update to its investors concerning the freezing orders obtained by ASIC and stated it was currently working with its advisers to develop a plan to implement an orderly wind down of First Guardian (First Guardian Master Fund March 2025 Update).

Certain representatives of the following Australian financial services licence holders provided financial advice recommending that clients invest in First Guardian. If you have concerns regarding the financial advice provided to you, you may wish to lodge a complaint with the relevant licence holder listed in the table below:

If your investment was facilitated through a superannuation platform, you may wish to contact your superannuation trustee for further information about your investment. If you have concerns about your superannuation or investment platform provider, you may wish to lodge a complaint with the relevant entity listed in the table below:

Further information about making complaints can be found on the ASIC website at:

• Problems with a financial adviser - Moneysmart.gov.au, which has steps to take if you’re unhappy with your financial adviser or their advice, and
• How to complain – Moneysmart.gov.au, which has general steps to take if you’re unhappy with a service or product.

You may be able to utilise both internal dispute resolution and then the Australian Financial Complaints Authority, to seek to resolve your complaint. AFCA is an independent External Dispute Resolution scheme that deals with consumer and small business complaints about financial firms.

AFCA can be contacted by:

• phone on 1800 931 678, or
• lodging a complaint online at the AFCA website.

For further information in relation to resolving disputes with financial firms, please see ASIC’s Information Sheet 174.

AFCA also has important information for self-managed superannuation fund (SMSF) trustees on their website: Factsheet – SMSF complaints.

ASIC’s investigation into Falcon and its officers, representatives, associates and related entities, is part of ASIC’s broader consideration of matters concerning First Guardian.

The fact that ASIC is investigating any person or entity should not be construed as an indication by ASIC that the law has been broken.

We encourage you to check this webpage regularly for any further updates.

The hearing of ASIC’s application to appoint liquidators over Falcon and for orders directing the liquidators to wind up First Guardian has been listed at the Federal Court on 9 April 2025.  ASIC is also seeking the appointment of a receiver and manager to the personal property of Mr Anderson.

Following an application made by ASIC, the Federal Court has made orders freezing assets of Rashid Alshakshir, director of Lion & Horn Pty Ltd (in liquidation), Nohap Pty Ltd (in liquidation) and Indigo Group Pty Ltd (in liquidation) (25-043MR).

ASIC has applied to the Federal Court for the appointment of liquidators to Falcon and for orders directing the liquidators to wind up First Guardian. ASIC is also seeking the appointment of a receiver and manager to the personal property of Mr David Anderson (25-041MR).

ASIC has obtained orders freezing the assets of First Guardian and Mr David Anderson, a director of Falcon (25-027MR).

Following an application made by ASIC, the Federal Court has made interim orders freezing certain assets of Melbourne-based financial adviser Ferras Merhi (25-024MR).

Following an application made by ASIC, the Federal Court has made interim orders freezing certain assets of Osama Saad, former director of Aus Super Compare Pty Ltd (in liquidation) and Atlas Marketing Pty Ltd (in liquidation) (25-023MR).

We understand this may be a confusing or worrying time for you. Further support is available if you need it.

If you are experiencing financial difficulty, you can speak to an independent financial counsellor for free by contacting the National Debt Helpline (NDH) on 1800 007 007 (9:30am to 4.30pm in your local Australian time zone, Monday to Friday). The NDH may not be able to assist with your SMSF specifically.

You can also find a financial counselling agency using the map on ASIC’s Moneysmart website.

If you are experiencing distress and would like to speak to someone, further support is available at:

• Lifeline: 13 11 14 (24 hours) 
• Beyond Blue: 1300 22 46 36 (24 hours)

ASIC’s investigation into various entities associated with investments made in First Guardian is continuing.

ASIC will publish further updates on this webpage.

People wishing to provide information to ASIC are invited to contact the investigation team via email at firstguardian.queries@asic.gov.au.

• 25-023MR Federal Court freezes assets of Osama Saad, former direct of Aus Super Compare and Atlas Marketing
• 25-024MR Federal Court freezes assets of Ferras Merhi, financial adviser
• 25-027MR Federal Court freezes assets of First Guardian Master Fund and director David Anderson
• 25-041MR Update for investors in the First Guardian Master Fund
• 25-043MR Federal Court freezes assets of Rashid Alshakshir in connection with ASIC’s investigations into Shield and First Guardian